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Sony continues its crusade against gamers, forces The IP Factory to destroy paid for items

Posted on 9/28/23 at 10:43 pm
Posted by imjustafatkid
Alabama
Member since Dec 2011
62723 posts
Posted on 9/28/23 at 10:43 pm
Including items Sony had already received royalty payments for. Coupled with their recent actions against the MS/ABK merger, it's hard not to come to the conclusion that Sony truly hates gamers and the gaming industry.

Posted by finchmeister08
Member since Mar 2011
39733 posts
Posted on 9/28/23 at 11:15 pm to
are we sure a contract between Gaming Heads and Sony didn't expire?

and are we sure this said contract didn't have a clause that prohibited the distribution of the product in question if the contract were to expire?

also, does Gaming Heads have a history of poor customer service where they take years to fulfill orders due to countless delays? could this have lead Sony to make the decision they made?
Posted by SonicAndBareKnuckles
Member since Jun 2018
1856 posts
Posted on 9/29/23 at 6:52 am to
If we could just get every IP owner to do this to Funko…
Posted by imjustafatkid
Alabama
Member since Dec 2011
62723 posts
Posted on 9/29/23 at 7:49 am to
quote:

are we sure a contract between Gaming Heads and Sony didn't expire?


Nope, but royalties already paid to Sony would definitely suggest at least some of these were within contract. Nobody pays royalties if they aren't contracted to do so.
Posted by imjustafatkid
Alabama
Member since Dec 2011
62723 posts
Posted on 9/29/23 at 7:50 am to
quote:

If we could just get every IP owner to do this to Funko…


No argument there.
Posted by Bard
Definitely NOT an admin
Member since Oct 2008
57950 posts
Posted on 9/29/23 at 8:17 am to
quote:

Nope, but royalties already paid to Sony would definitely suggest at least some of these were within contract. Nobody pays royalties if they aren't contracted to do so.


This. Also, if Sony has received royalties on these purchases they very likely have no legal ground to stand on to demand (much less expect) those purchases not be fulfilled.
Posted by Carson123987
Middle Court at the Rec
Member since Jul 2011
67797 posts
Posted on 9/29/23 at 8:43 am to
Firstly, anyone who collects these things needs to step back and reevaluate life.

Secondly, after doing some reading about this company, it's a miracle this didn't happen sooner. Consistent multi-year delays, horrible quality, incredibly overpriced, non-existent customer service, random cancelled orders. Go read the comments on their facebook post about this, it's just people shitting on them. Search them on reddit for similar threads of complaints. Sony doesn't want their IP getting tarnished by this trash company so they nuked them.

It's also incredibly a very poorly written letter. Reads like an intern fresh out of college wrote it. And telling people to ask Sony for refunds when customers paid GH directly for the orders is just LOL. No wonder they're getting nuked



I mean look at this. 5 year wait and $700 for this



Posted by finchmeister08
Member since Mar 2011
39733 posts
Posted on 9/29/23 at 8:45 am to
quote:

Secondly, after doing some reading about this company, it's a miracle this didn't happen sooner.


i was alluding to this. the response i got was expected.
Posted by Carson123987
Middle Court at the Rec
Member since Jul 2011
67797 posts
Posted on 9/29/23 at 8:47 am to
Agree with this dude below. The letter feels like it was written by a disgruntled customer leaving a 1* review, not a business. That letter was obnoxious, repetitive, and whiny.

quote:

The Gaming Heads (GH) statement is full of red flags. Simply put, companies don't usually issue a statement like this unless they themselves have royally fricked up.

Like others have said, Sony provides the license and a contractual agreement, which outlines timelines, finances, etc. GH is notorious for delaying the release of products, meaning they aren't meeting contractual timelines. Gaming Heads is also known for poor customer service and not refunding customers, which tells me Sony caught on to what GH is doing. If GH didn't fulfill their end of the contract, Sony may still be entitled to royalties. Also, Sony has every right to not renew a contract with a company that isn't fulfilling their end of the agreement. The fact that GH, who did the business with their customers, is telling customers to contact a specific person from Sony, proves they have absolutely horrid business practices and no regard for consumer laws/rights. Not to mention that they're basically denying refunds, which is illegal.

Bottom line, GH is a terrible company and I'd recommend that any self-respecting collector seek products elsewhere. This issue seems to be entirely on their end and using Sony as a scapegoat for their wrongdoings. Anyone who has an order with them for these cancelled products should demand a refund from GH, or chargeback the purchase.
This post was edited on 9/29/23 at 8:50 am
Posted by Carson123987
Middle Court at the Rec
Member since Jul 2011
67797 posts
Posted on 9/29/23 at 8:50 am to
quote:

Nope, but royalties already paid to Sony would definitely suggest at least some of these were within contract. Nobody pays royalties if they aren't contracted to do so.


They'll get them back in court if this is true
Posted by finchmeister08
Member since Mar 2011
39733 posts
Posted on 9/29/23 at 9:20 am to
so, how can they destroy stock if the stock doesn't exist to ship?


Gaming Heads: Sony wants me to destroy the item you paid for!

Customers: SEND IT ANYWAY!!!

Gaming Heads: Well.... about that. We technically can't...

Customers: WHY NOT?!?!

Gaming Heads: Well... :scratcheshead:... We technically don't have it in stock in our warehouses with no real timeline on when we'll get it.

Customers:

Posted by imjustafatkid
Alabama
Member since Dec 2011
62723 posts
Posted on 9/29/23 at 10:11 am to
quote:

Firstly, anyone who collects these things needs to step back and reevaluate life.


Absolutely agree, but lots of people do it.
Posted by imjustafatkid
Alabama
Member since Dec 2011
62723 posts
Posted on 9/29/23 at 10:14 am to
quote:

i was alluding to this. the response i got was expected.


It should have been, because Sony forcing cancellation of orders they were already paid for is the biggest red flag in the statement.
Posted by finchmeister08
Member since Mar 2011
39733 posts
Posted on 9/29/23 at 10:29 am to
quote:

Sony forcing cancellation of orders they were already paid for is the biggest red flag in the statement.



not if there was a clause in the contract that forbade distribution of product outside of the contract window regardless if it was already paid for or not.

plus, aren't royalties usually paid for on the front end before a sale is even made?

"royalties" is probably the wrong term to use here. Gaming Heads probably had an "IP license" to create/sell/distribute product which, again, is usually paid for on the front end. The license expired. How is that Sony's problem... if that's the case? there has to be accountability on the vendor to fulfill orders within the contract window.

eta: in addition to my last paragraph, Gaming Heads should have all of the money needed to provide refunds since, technically, none of it went to Sony because the IP license was already paid for before the first sale.
This post was edited on 9/29/23 at 10:42 am
Posted by ThisisAggieland
Somewhere in fricking WI
Member since Sep 2022
1784 posts
Posted on 9/29/23 at 10:10 pm to
quote:

Sony continues its crusade against gamers


interesting OP title.

very interesting.
Posted by Blitzed
Member since Oct 2009
22006 posts
Posted on 9/29/23 at 11:04 pm to
Didn’t read.

Look forward to my PS6 unless Microsoft can give me something more than elder scrolls.
Posted by Barstools
Atlanta
Member since Jan 2016
11270 posts
Posted on 9/30/23 at 5:19 am to
quote:

plus, aren't royalties usually paid for on the front end


Absolutely not. Royalties are a percentage of sales revenue.
Posted by finchmeister08
Member since Mar 2011
39733 posts
Posted on 9/30/23 at 11:25 am to
quote:

Absolutely not. Royalties are a percentage of sales revenue.


Licenses are. That’s why I mentioned them in the second half of my comment.
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